Industry reacts to latest Halifax figures

Managing Director of Barrows and Forrester, James Forrester, commented:

The outlook has remained unchanged so far this year and while we’ve seen market uncertainty chip away at the previous high rates of pandemic house price growth, this decline has been largely insignificant.

House prices remain robust and while borrowing affordability remains a concern for many buyers, increasing interest rates are yet to deter them from their aspirations of homeownership.”

Director of Benham and Reeves, Marc von Grundherr, commented:

“The recent decline in house prices has been consistent, albeit marginal, but it’s important to remember that the comparison being made is to the heights of the pandemic boom seen this time last year.

When you consider this small detail, it’s actually quite remarkable that the market is still standing so strong given the wider economic picture.”

Managing Director of House Buyer Bureau, Chris Hodgkinson, commented:

“The overarching prediction for the property market in 2023 was a cooling rate of house price growth heading in the direction of a return to normality, not a collapse. So far this year, that’s certainly what we’ve seen and, in fact, the reduction in house prices has actually been less severe than anticipated.

While other factors are proving more problematic for both buyers and sellers, such as the turbulence caused by the increased cost of borrowing, the market is standing firm at present. Although it’s fair to say it’s been standing in the same spot for the last few months.”

Co-founder and CEO of Searchland, Mitchell Fasanya, commented:

“Despite the wider economic picture, the appetite for homeownership has remained strong and particularly amongst first-time buyers.

As a result, we’ve seen an ongoing commitment from the nation’s big housebuilders to deliver stock to market and this confidence bodes well for the year ahead and beyond.”

Managing Director of Sirius Property Finance, Nicholas Christofi, commented:

“The heightened cost of borrowing will continue to squeeze the purchasing power of the nation’s homebuyers, who have little choice but to offer less, or opt for smaller homes.

This will inevitably cause house prices to cool further over the coming months, however, this will come in the form of a gradual reduction, not a cliff edge.